Wairau/Awatere Resource Management Plan 5 March 2015 Energy The supply of electric power to all sectors of the community can readily be regarded as an essential service. It includes any upgrading or establishment of a system to supply individual users of sites. The provision of reticulated power supplies will of necessity involve reticulation systems that can be either above or below ground, as well as (in some cases) substations. Urban subdivision will normally require street lighting. The provision of gas supplies is not regarded as an essential service, but subdividers or developers can choose to make provision if desired. 23.5.3 Mitigation measures Financial Contributions Subdivision/ development of land requires a framework of services for subsequent purchasers/ occupiers of new allotments, who have an expectation that services will be available and which are paid for within the purchase price. New subdivision/ development may also give rise to demands for the upgrading of existing services beyond the site as a direct consequence of the subdivision/ development and anticipated land uses associated with it. These demands may impose adverse effects on services, roading and amenities. The Act provides that the Council may require a ‘financial’ contribution of money or land (or combination thereof) to avoid, remedy or mitigate such effects, as a condition of resource consent. Reserve fund contributions are subject to formulae specified in the Plan. Where a subdivision/ development creates a demand for upgrading services outside the proposal site, The Council is justified in recovering the actual costs attributable to the subdivision/ development itself. Contributions are calculated using a formula that ensures costs of are not borne by ratepayers generally, but are not set at a level where they act as an unfair tax on subdivision/ development. Some land use developments are undertaken independently of subdivision, such as the amalgamation of existing titles for development of rental accommodation, or increasing household unit numbers on existing titles. Thus financial contributions must anticipate the potential adverse effects that demands such as development can place on services. Therefore, within the Plan the financial contribution provisions for subdivisions have also been applied to “developments” (as defined in Volume Two) that do not involve subdivision. In accordance with the Act, contributions are set to specified rules, amounts or methods in order to ensure “transparency” of charges and legal certainty. Generally the level of contribution will be based upon specified formulae which will be applied according to the proposal in question. Where dollar amounts are specified, these are maxima (at a base date of November 1998). They are GST exclusive and adjusted over time against the Opus Construction Cost Index (CCI). 23 - 14